House Bill 6554 Summary

• Amends Michigan's motor vehicle dealer regulation law to expand the definition of "designated family member" to include spouses, children, grandchildren, step-relations, parents, siblings, and their spouses who inherit dealership interests through estate or succession planning documents, or are appointed as legal representatives.

• Allows both designated family members and executive managers of a dealership to succeed a deceased or incapacitated dealer within 120 days of death or incapacity, provided they meet current manufacturer qualification criteria and agree to be bound by the dealer agreement.

• Prohibits manufacturers from terminating dealer agreements solely due to ownership changes to designated family members under section 15(6), while maintaining manufacturer approval rights for other ownership transfers.

• Establishes a 60-day review period for manufacturers to determine whether to approve a successor, with automatic continuation of the dealer agreement if the manufacturer does not serve notice of refusal within that timeframe; any refusal must provide specific grounds and give at least 90 days' notice before agreement termination.

• Permits dealers to file written designations naming any individual as their successor, which alone determines succession rights to dealership management and operation.